02 December 2008
Dear Sir, i want to know if an employeer provide a facilities of Concessional loan @6% on reducing balance.So how i will caculate value of perquisite.
02 December 2008
Please follow the following procedure : Step-1 : Find out the maximum outstanding monthly balance of loan. Step-2 : Find out the rate of interest charged by SBI as on the first day of the relevant previous year in respect of loan for the same purpose advanced by it. [Rate Chart is large, provide me the following detail relating to loan taken by you: (i)whether it is a housing loan, car loan, two wheeler loan, educational loan or personal loan. (ii) tenure of loan (iii) amount of loan (iv) year of lending] Step -3 : Calculate interest for each month of the previous year on the outstanding amount mentioned in Step-1 at the rate of interest given in step-2. Step -4 : Taxable value of perquisite will be interest calculated in step-3 minus interest actually recovered from the employee during the previous year.
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